Calpine to Build Power Plant in Arizona

Calpine Corp. said it plans to construct a $275-million natural-gas-fueled power plant on the Fort Mojave Indian Tribe reservation in Arizona. The San Jose company said electricity generated by the 500-megawatt plant will be sold in Arizona, California and New Mexico. The plant, to be completed in 2000, is part of Calpine’s plans to construct 6,000 megawatts of generating capacity over the next five years, in an effort to profit from selling electricity to utilities and large businesses as deregulation opens utilities to competition. The plant will be located about 10 miles south of Bullhead City. Calpine shares fell 25 cents to close at $19 on the NYSE.